Ethiopia Legesse (PhD)Zelalem Yideg Beyene2024-04-232024-04-232024-01-05https://etd.aau.edu.et/handle/123456789/2776This study aims to offer a significant perspective on the impact of transformational leadership on employee engagement and the role of a leaders’ team-building proficiency in particular, with a specific focus on Akaki Kality headquarter. This study focus on transformational leadership dimentions. Explanatory research deign and a quantitative research approach was chosen for this study. A self-administered questionnaire (comprised of 33 questions) was created and distributed from a total population of 384 employees to sample of 189 employees as part of the primary data collection process. Linear regression and correlation are used to analyze the collected data. Key findings showed that the transformative aspect of leadership has a positive and significant effect, predicting a significant portion of variation in employee engagement and leader team building. Hence, it is reasonable to conclude, transformational leadership dimensions are contributing to employee engagement, and sobel test supported leaders’ team building skill having a mediating effect on the relationship between perceived transformational leadership and employee engagement. Public service institutions like Akaki Kaliti sub city administration, need to implement well designed transformational leadership style and should incorporate in their administration policy and strategy. The research limitation is the analyzed data were collected from only one public service sector in the country; more researches are needed before general conclusions can be drawn.enThesis